Christopher & Banks Misses Earnings Estimates (CBK)

Christopher & Banks Corporation (NYSE: CBK) reports Q3 earnings loss of $0.06 versus consensus of $0.05 loss. Christopher & Banks Corporation reports revenues of $101.3 million versus consensus of $105.38 million.Revenues increased 0.1% year over year. For the third quarter of fiscal 2011, the company expects an increase in same-store sales in the low single digits. Total gross margin is expected to decrease by a couple hundred basis points in the third quarter of fiscal 2011, as compared to last year's third quarter, due to higher product costs and increased promotional activity, somewhat offset by the leveraging of buying and occupancy costs.Lorna Nagler, President and Chief Executive Officer, commented, "Despite a solid start to the quarter, August sales results fell short of expectations, resulting in a slight earnings shortfall. While our August merchandise deliveries did not resonate well with customers and led to increased promotions and gross margin pressure, response to our most recent fall deliveries is improved and we believe we are on track with our merchandise strategy. We are also encouraged by the initial reaction to some of our recent marketing initiatives."Ms. Nagler continued, "While we are facing some short term headwinds, we remain focused on our business strategies and initiatives, including merchandising direction, multi-channel strategies and marketing programs. We are confident that these initiatives position us for improved sales and earnings growth over the long term."Shares of CBK are bid lower in the after-hours.